Question

The production possibilities frontier shows the ________ combinations of two products that may be produced in a particular time period with available resources.
a) maximum attainable
b) equitable
c) minimum attainable

Answer 1

Answer:

Option (a) is correct.

Explanation:

The production possibility frontier curve is a graphical representation of all the points or combination of two commodities that an economy can produce with the limited or available resources.

All the points on the PPF curve shows the best combination of two goods, all the points below that curve shows that resources are not fully utilized and all the points above that curve shows that allocations are not achievable.